Automobile leasing is a financial arrangement where a person pays to use a vehicle for a specific period, typically two to four years. Instead of buying the car outright, the lessee makes monthly payments to the leasing company, which owns the vehicle. At the end of the lease term, the lessee can return the car, purchase it, or lease a new one. Leasing often requires a lower down payment compared to buying and usually includes warranty coverage for maintenance. However, there are mileage limits and potential fees for excessive wear and tear, making it essential for lessees to understand the terms of their lease agreement.